SE21697 - Benefits: computers: partial exemption: general

Section 156A ICTA 1988

Where a benefit consists in an asset placed at the disposal of a director or employee ( SE21615) the usual rules are modified if the asset is a computer or peripheral equipment. The first £500 of cash equivalent of the benefit ( SE21616) is exempt from tax. See:

• SE21698 for what computer equipment the exemption applies to
• SE21699 for details about how the exemption works
• SE21700 about the exclusion from relief of arrangements which favour directors over other employees
• SE21701 for examples of how the exemption works
• SE21653 for details about the interaction of this exemption with the amount of the benefit if ownership of a computer is transferred from an employer to an employee.